It seems like Shilen Patel, the new owner of West Bromwich Albion, has made a significant move by clearing off one of the club’s major debts amounting to £5 million. This debt was inherited from the previous owner, Guochuan Lai, and was owed to Wisdom Smart Corporation Ltd, which is one of Lai’s firms. Patel, through his Bilkul Football group, took over the club and its debts, including the £5 million owed to Wisdom Smart and nearly £30 million owed to MSD Holdings.
The £5 million debt to Wisdom Smart was initially a controversial loan made by Lai in March 2021 during the aftermath of the pandemic. However, the club struggled financially, missing several repayment deadlines, and the loan was impaired in the club’s latest accounts, indicating it was unlikely to be repaid.
Patel’s decision to repay the Wisdom Smart loan in full, including interest, is seen as a positive step towards stabilizing the club’s finances under new ownership. Additionally, Patel has taken on the existing MSD loan but plans to address its repayment at a more suitable time, considering it a prudent business decision.
It’s also mentioned that there is an ongoing investigation by the King’s Council into a historic loan taken by the former owner, Jeremy Peace, in 2014, which is expected to conclude this year. This investigation could have further implications for the club’s financial situation depending on its outcome.
GET MORE NEWS HERE
Jonathan Jonathan